This IDC study provides worldwide and regional market forecasts for the IS outsourcing market. Additionally, this forecast provides in-depth analysis of the U.S. IS outsourcing market and market forces that are beginning to have some significant impact on growth for U.S. IT outsourcing. This document analyzes the impact of these trends and provides recommendations on how best to compete in the United States IS outsourcing space.

The document answers the following questions:

"The increase in the number of players, expanded use of global sourcing, introduction of innovative service models (e.g., utility computing, SaaS), integration of hosting and offshore, and continued adoption of cheaper and easier-to-use technologies is slowing the growth rates of IS outsourcing in the U.S. market and resulting in the need for outsourcers to make radical changes to their businesses and delivery capabilities to stay competitive in the long term," said David Tapper, program manager for IT Outsourcing and Utility Services research at IDC. "Success will depend on how well players transform their businesses in such areas as accessing new sets of customers likely to buy on demand, such as the SMB and emerging market; providing innovative services; enabling transformation; and building ecosystems of partners that can support provisioning a Wal-mart-like set of options in a virtual world."